Mastercard (NYSE:MA) Shares Down 2.4% – What’s Next?

Mastercard Incorporated (NYSE:MA) traded down 2.4% on Thursday . The stock traded as low as $499.17 and last traded at $501.38. 1,625,702 shares were traded during mid-day trading, a decline of 33% from the average session volume of 2,425,549 shares. The stock had previously closed at $513.69.

Wall Street Analyst Weigh In

Several brokerages have issued reports on MA. Oppenheimer initiated coverage on Mastercard in a research report on Tuesday, October 1st. They set an “outperform” rating and a $591.00 target price on the stock. Bank of America lifted their price target on Mastercard from $480.00 to $509.00 and gave the stock a “neutral” rating in a research report on Tuesday, September 17th. William Blair raised Mastercard to a “strong-buy” rating in a report on Wednesday, July 31st. JPMorgan Chase & Co. cut their price objective on Mastercard from $593.00 to $580.00 and set an “overweight” rating for the company in a research note on Friday. Finally, Compass Point assumed coverage on Mastercard in a research report on Wednesday, September 4th. They issued a “neutral” rating and a $525.00 price target for the company. Four research analysts have rated the stock with a hold rating, twenty have given a buy rating and three have assigned a strong buy rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $537.92.

Mastercard Trading Up 1.7 %

The stock has a market capitalization of $469.52 billion, a P/E ratio of 38.86, a P/E/G ratio of 2.27 and a beta of 1.10. The business’s fifty day simple moving average is $495.77 and its two-hundred day simple moving average is $466.84. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 1.95.

Mastercard (NYSE:MA) last announced its quarterly earnings results on Thursday, October 31st. The credit services provider reported $3.89 EPS for the quarter, beating the consensus estimate of $3.73 by $0.16. The business had revenue of $7.37 billion for the quarter, compared to analyst estimates of $7.27 billion. Mastercard had a return on equity of 179.78% and a net margin of 46.45%. Mastercard’s quarterly revenue was up 12.8% on a year-over-year basis. During the same quarter in the previous year, the firm earned $3.39 EPS. As a group, analysts forecast that Mastercard Incorporated will post 14.33 earnings per share for the current year.

Mastercard Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, November 8th. Shareholders of record on Wednesday, October 9th will be paid a $0.66 dividend. This represents a $2.64 annualized dividend and a yield of 0.52%. The ex-dividend date of this dividend is Wednesday, October 9th. Mastercard’s payout ratio is 20.18%.

Insider Transactions at Mastercard

In other news, CFO J. Mehra Sachin sold 13,439 shares of the company’s stock in a transaction dated Monday, August 5th. The stock was sold at an average price of $455.00, for a total transaction of $6,114,745.00. Following the completion of the transaction, the chief financial officer now directly owns 27,304 shares of the company’s stock, valued at $12,423,320. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. In other news, CFO J. Mehra Sachin sold 13,439 shares of the business’s stock in a transaction dated Monday, August 5th. The shares were sold at an average price of $455.00, for a total transaction of $6,114,745.00. Following the transaction, the chief financial officer now directly owns 27,304 shares in the company, valued at $12,423,320. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, major shareholder Foundation Mastercard sold 119,000 shares of the firm’s stock in a transaction on Friday, August 16th. The shares were sold at an average price of $468.46, for a total value of $55,746,740.00. Following the sale, the insider now directly owns 92,033,308 shares of the company’s stock, valued at $43,113,923,465.68. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 340,809 shares of company stock valued at $159,610,703 over the last three months. 0.10% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Highline Wealth Partners LLC bought a new position in shares of Mastercard during the third quarter valued at $25,000. Palisade Asset Management LLC acquired a new stake in Mastercard during the first quarter worth approximately $27,000. Strategic Investment Solutions Inc. IL acquired a new position in shares of Mastercard during the 2nd quarter valued at $34,000. Fairway Wealth LLC acquired a new position in shares of Mastercard during the second quarter valued at about $35,000. Finally, First Personal Financial Services acquired a new position in Mastercard during the 3rd quarter worth approximately $39,000. 97.28% of the stock is currently owned by institutional investors and hedge funds.

About Mastercard

Mastercard Incorporated, a technology company, provides transaction processing and other payment-related products and services in the United States and internationally. The company offers integrated products and value-added services for account holders, merchants, financial institutions, digital partners, businesses, governments, and other organizations, such as programs that enable issuers to provide consumers with credits to defer payments; payment products and solutions that allow its customers to access funds in deposit and other accounts; prepaid programs services; and commercial credit, debit, and prepaid payment products and solutions.